Long's Manufacturing wants to determine whether it should lease or purchase some equipment. The capital budgeting analysis indicated the equipment should be secured. The question is whether to lease or purchase. The equipment has a five-year useful economic life. The asset is in class 10 (CCA rate 30\%) and the PV of the tax savings from CCA is $102,997. The salvage value at the end of 5-years is $75,000. The firm's after-tax cost of borrowing is 9% and their tax rate is 40%. The equipment costs $400,000 if purchased or it can be leased for five years at $105,000 per year, with the first payment payable in advance. If they purchase the equipment, they will have annual maintenance costs of $10,000 per year (lessor will pay if leased). Calculate the PV of the lease payments. (round your answer to the nearest $ )